BTCUSD - is $40k our next stop or BTC will make way for alts ?
Hello guys,
TradingView blocked for some strange reason as I haven't broken any of the rules, so I hope that won't happen again.
As my last idea was taken off I will just quickly paste here its second part, where I did a short 4-hour chart time frame analysis. Remember, this screen is from January 5th.
BTC is in a pretty easily noticeable uptrend corridor since December 16 on the 4-h chart. You can see the price bouncing up and down in that channel with the price volatility squeezing in the December 16- January 2 period before exploding up to the area above $34,000 a few days ago. We haven't seen a single candle closing out of that improvised rectangle for the period, not even yesterday's big red candles managed to penetrate below its lower boundary (ow at $31,000). What we are seeing today is yet another jump off the above-mentioned line and I expect to at least hit the middle line at $33,000 today or tomorrow.
So, fast forward to today, BTC did not only cross $33,000, but continued to rally and used the middle line of the corridor as support before skyrocketing up to $37,000. What we are seeing right now on the 4-h chart is the biggest cryptocurrency going out of the channel (trading at $38,095 as of the time I write this). I'm not really sure if this is a good thing or we are getting close to the point of exhaustion. I would be extremely careful from here given the fact all will be aiming at $40,000 and we all know how bitcoin is working - expect the unexpected.
It is also true that the fundamentals are very much in favor of a bull trend continuation. I'm speaking about what we saw last night near the White House and the turmoil that might be ahead of us and which will definitely impact the US dollar in a negative way.
From here, I will be looking for support at $34,800 and $32,000. The RSI index value is extremely high in the overbought area. By the way, we just broke the $1 trillion market cap for the entire cryptocurrency market.
It is quite possible to see a pause in the rapid price increase. If we are really seeing a change in the financial paradigm and so on, is it really ok to expect a pump and dump ? A sideways consolidation might be the best thing right now for three reasons: we will avoid the dump, bitcoin will leave more space for alts, which as we know are where the big money is made, and third - it will mean BTC is really something that is here to stay in the long-term.
Stay safe !!!
Best Regards
TradingView blocked for some strange reason as I haven't broken any of the rules, so I hope that won't happen again.
As my last idea was taken off I will just quickly paste here its second part, where I did a short 4-hour chart time frame analysis. Remember, this screen is from January 5th.
BTC is in a pretty easily noticeable uptrend corridor since December 16 on the 4-h chart. You can see the price bouncing up and down in that channel with the price volatility squeezing in the December 16- January 2 period before exploding up to the area above $34,000 a few days ago. We haven't seen a single candle closing out of that improvised rectangle for the period, not even yesterday's big red candles managed to penetrate below its lower boundary (ow at $31,000). What we are seeing today is yet another jump off the above-mentioned line and I expect to at least hit the middle line at $33,000 today or tomorrow.
So, fast forward to today, BTC did not only cross $33,000, but continued to rally and used the middle line of the corridor as support before skyrocketing up to $37,000. What we are seeing right now on the 4-h chart is the biggest cryptocurrency going out of the channel (trading at $38,095 as of the time I write this). I'm not really sure if this is a good thing or we are getting close to the point of exhaustion. I would be extremely careful from here given the fact all will be aiming at $40,000 and we all know how bitcoin is working - expect the unexpected.
It is also true that the fundamentals are very much in favor of a bull trend continuation. I'm speaking about what we saw last night near the White House and the turmoil that might be ahead of us and which will definitely impact the US dollar in a negative way.
From here, I will be looking for support at $34,800 and $32,000. The RSI index value is extremely high in the overbought area. By the way, we just broke the $1 trillion market cap for the entire cryptocurrency market.
It is quite possible to see a pause in the rapid price increase. If we are really seeing a change in the financial paradigm and so on, is it really ok to expect a pump and dump ? A sideways consolidation might be the best thing right now for three reasons: we will avoid the dump, bitcoin will leave more space for alts, which as we know are where the big money is made, and third - it will mean BTC is really something that is here to stay in the long-term.
Stay safe !!!
Best Regards
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